The presentation supported the speech by Gabriele Ruffatti, Engineering Group's Architectures and Consulting Director and OW2 Board member, at Slovenia Business Linux Conference 2010 (27th-28th Sept 2010 - Portoroz, Slovenia).

1. OPEN SOURCE COMMUNITIES AND
BUSINESS ECOSYSTEM STRATEGY
OW2 Consortium from the perspective of a
Board Member
Slovenia Business Linux Conference
27th September 2010
Gabriele Ruffatti
Engineering Group
OW2 BoD member

2. Why this talk
This talk is not an official OW2 presentation, but it gives the point of view of an
OW2 founding member (Engineering Group) and of an OW2 Board of Directors
member.
My aim is both to promote OW2 Consortium and to suggest some reflections
about Open Source (OS) Communities and OS ecosystems strategies.
The first point is: who am I?
2

3. A short bio
Engineering Group is the first player in Italy in software and services with a unique and complete business
model: system integration, consultancy, outsourcing, solution & product for cross and vertical markets.
OSS Editor
Communities Initiatives
www.ow2.org www.eclipse.org www.osgi.org
www.nessi-europe.com www.qualipso.org www.flossitaly.it
I am Architectures&Consulting Director within the Research&Innovation Division. Founder of the SpagoWorld
initiative and member of OW2 Consortium BoD, active in the Eclipse Foundation Community and in the
Italian Open Source Competence Center. I signed the FLOSS CC Network Manifesto and I was professor for
open source at the University of Padua, Italy.
3

4. Agenda
 The current OS world
 New generation of OS communities
 OW2 Consortium: software & business platform
 OW2 Initiatives: ecosystems @ work
 OS Communities: some reflections
 Concluding remarks
4

5. Where we started
0> The freedom to run the software for any
purpose
1> The freedom to study how the software works
and to adapt it to your needs
2> The freedom to redistribute copies of the
software
3> The freedom to improve the software and
distribute your improvements to the public
5

6. Current OS world: business strategies
www.the451group.com/caos
6

7. Business models -> towards commercialization
Open Source commercialization
Research Stability Community ISV aa
(development Third Parties SaaS
(incubation) (maturity) Foundation & support) Support Cloud
Fundings Patronage Patronage Installation Sw selection Services
Start-up Technical assessment Supply
Support Legal assessment
Maintenance Installation
Training Start-up
Certification Integration
Legals Migration
Training
Intermediation
Business models Customization
Technological cooperation Tech. & Business cooperation
Non-monetary returns
Business competition
Cooperative development Monetary / Non-monetary returns
Knowledge sharing Network externalities
7

8. OS strategies based on licensing models
Pure Open Source, Dual Licensing, Open Core, Open Complement, ...
Forges Licences distribution
OW2 Sourceforge
Statistics provided by
Italian Open Source Competence Center
using:
More information at: http://en.flossitaly.it/?q=content/comparative-analysis-open-source-forges
8

9. Developing model -> towards Quality Assessment
Open BRR
OMM (Open Maturity Model)
Apache Quality Assurance
fixing bugs
& MOSST (Model for Open
Source Software Trustworthiness)
NO
by
identified Successful?
testing
solution
YES
With new features
and/or collect
fixed bugs new releases,
fixed bugs
NO Time for
rolling out
the release?
YES
SW reached a
stable point -
controlled access
to the repository
roll out
the release
9

10. New generation of OSS communities
Open Source Communities evolution over time
FLOSSCC
Communities
Actors Individuals Community Consortia/ Working Groups
Competence Centers
Networks
Guidance Hacker ethics Governance Ecosystems
Goals Technological Technological
Technology
Business
Third generation of open source communities gathering different legal entities, federating
companies, vendors, customers, public administrations and individuals.
A collective business model: the core of their value proposition, oriented towards the value
increment of the organization as a whole, consists in stimulating collaboration among members to
reach various goals, useful to all.
10

11. OW2 Consortium: sw & business platform
One of top-4 global open source organizations
with diversified code
Diversified-code organizations
Product line organizations
Technology-oriented communities
Legal resources organizations
Standards organizations
Advocacy and lobbying organizations
© O W2 Consortium 2010 www.ow2.org 11

12. Consortium Structure Overview
Same as a company but with specific constituents
Community Governance
Code
Base
Activities Membership
Fees
© O W2 Consortium 2010 www.ow2.org 12

13. Community
a global membership... to be energized as a community
OW2 - Membership Evolution
Membership count as of Oct.1 of each year
80
72
70
61
60
Num ber of m em bers
49 2007
50
2008
40 2009
30
20
10
0
Total
OW2 - Membership Evolution
Membership count as of Oct. 1 of each year
35
30
France
Num ber of m em bers
25 Europe
20 China
LatAm
15
NorthAm
10 RoW
5
0
2007 2008 2009
Mem bers hip by Geography
© O W2 Consortium 2010 www.ow2.org 13

14. Activities
The three activities of the OW2 Community
 Projects OW2 hosts world-class
projects. They require:
• IP support
 Technology Innovation • Greater visibility
 Initiatives Unique to OW2.
It requires commitment
 Business Leverage and management skills.
 Local Chapters Will drive and help
the community grow
 Global Governance locally.
Not yet operational
© O W2 Consortium 2010 www.ow2.org 14

15. Governance
OW2 Governance Model
Board of Directors
Technology Council
Operations Council
MarCom Council
Management
Management Office
Office (MO)
Activities Management Team
Openness, Fairness, Trust, Transparency, Independence
© O W2 Consortium 2010 www.ow2.org 15

16. Membership fees
a "low-cost" organization
•€50,000
Strategic Members •3-year commitment
•LORGs €10,000
•SMORGs €5,000
Corporate Members •Micro €1,500
•Academia €4,000
•Labs €1,000
•1-year commitment
Individual Members •No charge
• 2010 budget just balanced. No offices.
No public funding, No donations (so far).
OW2 still relies on in-kind contributions by
Strategic Members
© O W2 Consortium 2010 www.ow2.org 16

17. A software platform
Easybeans
Easybeans
Enhydra JOTM
Enhydra
ProActive
Enhydra
Enhydra Barracuda
Perseus Bonita Acceleo
Acceleo ASM Monolog Dream
Funambol
Funambol Spagic DODS
DODS MVC
MVC
eXo
eXo
Jalisto RmiJdbc JaWE EclipseJDO CAROL Spago JAC
JAC XQuare RUBIS
Jo²nAS SpagoBI Platform
Enhydra
JORM
JORM Speedo OncePI Lomboz
Lomboz Massiv
Massiv Pajé OFC CHarts XWiki RUBBOS
JORAM
JORAM Spago4Q
Spago4Q Director
Director
Orbeon
Enhydra
Open CCM
Open CCM MEDOR
MEDOR XAPOOL Orchestra Fractal MobiliTools PolyORB Presentation
Presentation ActiveXML FederID CLIF
CLIF
OpenMobilis Kelp
Sr
Sr
Enhydra Java
GASP XPlus
XPlus Shark
Shark JOPE
JOPE ModFact
ModFact SOFA
SOFA XMLC
XMLC Telosys LemonLDAP LeWYS
LeWYS
PEtALS Octopus Service
Application Persistency / Workflow IDE Software Engineering XML Presentation Security Bench-
XML // Presentation Services marking
Platforms Databases // BPM
BPM Plug-ins Services
Databases
*Selection based on: downloads, most recent update, number of developers, Java
Production Beta
Beta Alpha
Alpha Update: May 2009
© O W2 Consortium 2010 www.ow2.org 17

18. A business ecosystem platform
© O W2 Consortium 2010 www.ow2.org 18

19. Initiatives: ecosystem @ work
OW2 Business Intelligence Initiative
www.ow2.org/view/BusinessIntelligence/
VISION & GOALS STAKEHOLDERS
OS Business Software Vendors
Intelligence Systems Integrators
qualification
Academia
BI investigation
and research Enterprises
Use cases and SMEs
best practices Public Entities
Open Source BI Consultants
Business Ecosystem
Business Process Control
Data quality and Security
more (in progress)
TRACKS OW2
Scenarios
PROJECTS
Project Synergies
Open Source BI Vision Innovation
© O W2 Consortium 2010 www.ow2.org

20. Initiatives: ecosystem @ work
OW2 Open Source Cloudware Initiative
www.ow2.org/view/Cloud/
VISION & GOALS OW2 projects STAKEHOLDERS
OW2 Technology
Vision 3rd party projects •Software Vendors
JetStream •Systems Integrators
discussion •Academia
From Middleware Collaborative •Enterprises
to Cloudware projects
•Telcos
Open Cloud
Computing •SMEs
Open Source •Public Entities
Empowerment
Initiative bedrock
© O W2 Consortium 2010 www.ow2.org

21. The OW2 opportunity OSS strategy
Efficiency and Sustainability
•Access to quality code
•Access to expertise
Industry Leader •Access to 3rd level support
•OW2 directory
Increase market size •Image "OW2atWork"
and market share Technology Provider
•Increase visibility in Open Source
developers community Research Organization
Business opportunities and
•Platform for ecosystem development technology acceleration
•Increase market power / share End-User or Systems Integrator
•Help establish de facto standards •Business intelligence
Developer, ISV, Start-up •Technology watch
•Networking opportunities
Academia
Increase corporate value
Individual Access to business and Open
•Business exposure / Market traction Source expertise
•Market and technology guidance
•Business opportunities Public Administration •Industry relationship
•Networking opportunities
•Seed research
Increase technology transfer OSS Strategy
Independence & Innovation
Enhance
•Platform for industry relationship •Access to quality code professional profile
•Real world experience •Access to expertise
•Funding opportunities •Optimize budget •Networking, contacts and
•Enhanced visibility and reputation •International network exchange
•Foster innovation •Job opportunities
© O W2 Consortium 2010 www.ow2.org 21

22. OS Communities: some reflections
- more or less project oriented
- many projects are supported by a company, instead of a community effort
- most contributors are users instead of developers
- often they are mainly a marketing tool, whose interest is influenced by leading
members
- a well-established organization and the availability of economic resources are
crucial for their success
Source of pictures: Open Source and its Communities, C. Thomas, fOSSa Conference 2009, www.slideshare.net/fossaconference/presentations
22

23. OS Communities – OW2 Lessons learned
Typical OS organization value proposal
Source: Open Source and its Communities, C. Thomas, fOSSa Conference 2009
www.slideshare.net/fossaconference/presentations 23

24. How to kill a community?
#1 Restrict enthusiasm & free expressions, prevent open discussions about vision &
strategy, never seek members’ views & opinion
#2 Set up strict by-laws & rigid processes, establish a strong top-down oriented
community, stick to one business model & never change it whatever may happen
#3 Avoid participation from community members to any decision making process,
ensure that communication, dissemination & promotion initiatives require your
despotic approval
#4 Impose closed monolithic architecture software, state that globalization /
localization / skin adaptation adds on are useless, don’t publish roadmap neither your
project security threads, block momentum
#5 Do not promote; reputation will grow by itself thanks to product excellence
#6 Never acknowledge contribution, never acknowledge recognize successes, never
award incentives
#7 Force the OSS communities to merge or fight against one another, never monitor
your community, move your OSS non-profit organization to a profit organization.
Source: How to kill an Open Source Community?, S.Ribas, M.Chezon, INRIA - fOSSa Conference 2009
www.slideshare.net/fossaconference/presentations 24

25. Rate your own community
or the community you are looking for
Vision Rate (*)
Values Clear objectives, principles, corresponding activities
Goals Balance focus and re-direction, tradition vs innovation
Independence Openness, transparency
Trustworthiness Inclusive attitude, altruistic approach
Ecosystem
Members’ participation Inclusive attitude & efforts, participation rate
Individuals’ involvement Inclusion, feedback & credits mgt., awareness, accomplishment
Communications Type, quality, frequency rate, supporting infrastructure
Credits & feedback mgt. Members’ accomplishment
Knowledge management Infrastructure, open involvement, effectiveness
Governance
Democracy Role of members, balance between members, consensus mgt.
Rules management Solid frame, law observance, flexibility, adaptability
Community leadership Role of leaders: chairman, directors, community manager
Role of Directors Openness of the BoD, decision management
Technology
Code base Market recogn., adoption results, innovation, accept. procedures
Supporting infrastructure Usability, availability, robustness, effectiveness, support
Development process Project management, procedures, quality control
Contribution management Typology, quality, frequency rate
IPR/license management Guidance, support, transparency
(*) My “priority” rate, instead of an all 3-stars rate 25

26. Concluding remarks
Open source software has started changing
- initial emphasis on ethic values and community involvement has diminished
- digital technology is becoming commoditized; digital natives are more interested in the
services that technology offers than in the technology itself
- IT market has adopted the open message; OSS solutions are often used to attract
users towards proprietary solutions
- new business models are arising and they will lead technology more than technology
can do.
What can we do?
1) We should actively preadapt ourselves to future events, building an organizational
context that can generate some potential resources that can be used in the future,
well knowing how using them.
2) A rough waiting for monetary returns will not produce any sustainability. We must
fund OS future on a new sustainable development environment based on renovated
and shared values.
The right organizational context
is the key to success!
26

27. The five questions
1) Innovation. OSS is valuable only if it innovates, if it’s at the bleeding-edge, if it
supports the creation of knowledge, collaboration, trust, transparency, and projects
initiatives, business relations, services. Why OSS solutions are not evaluated on
the basis of their innovation rate?
2) Education. Training and research are crucial everytime, expecially in the period
of crisis and incertitude. How can the OS world promote an education system
that trasfers its ability to use, share, participate and conceive to the citiziens
and professionals of tomorrow?
3) Governance. Everything cannot be planned; serendipity is crucial. Is only the
result of an OS project relevant, or, in addition, is how we achieve this result
important as well (according to a self-organizing and self-training model that is
useful to attain the expected and unexpected results)?
4) Community. A community can grow only if its members are aware of the basic
emotional/cognitive relations existing among individuals and in the group. Can we
consider an organization as a community if it does not promote the altruistic
approach at the basis of the knowledge society?
5) Market. The OSS success has been determined by the market that is based on
traditional values. We cannot expect any radical market change. But, which
approaches do we have to adopt in order to lead the business and
technological innovation toward a new intensive way of producing and living?
Join an organization that can help you
(and let you) answer properly!
27

28. My answer: ecology of value
Open Source Business Ecosystem
Enterprises
End users
Developers
Services Providers
System Integrators
Network aggregators
 The participants explore the value of their real and potential relations, seeking
complementarities able to increase the business and ecosystem sustainability
 The ecosystem creativeness lies in its variety of resources as well as in its attraction and
inclusion capacity
 Coopetition (i.e.: simultaneous cooperation - in non-monetary issues - and competition - in
the same market) enables the complex relations to foster the ecosystem.
An ecology is a value creation process set on the
background of a complex network of business and social relationships,
of shared values and interdependencies between the different participants
28

29. www.ow2.org
Join OW2 Consortium at:
2010 OW2 Annual Conference, Paris 24-25 November
www.ow2.org/view/Events/OW2AnnualConference2010
Join the discussion about new funding OSS values at:
2010 fOSSa Conference, Grenoble 8-10 November http://fossa2010.inrialpes.fr/
For information about OW2 Consortium contact:
Cedric Thomas (CEO) cedric thomas @ ow2 org
For information about this talk contact:
Gabriele Ruffatti gabriele ruffatti @ eng it
29

30. Resources & Credits
Leading Open Source Middleware - OW2 general presentation, Cedric Thomas 2009
www.ow2.org/view/NewsEvents/MarketingResources
OW2 business ecosystem - Cedric Thomas, 2008
www.ow2.org/view/NewsEvents/MarketingResources
Many papers about OW2 Consortium strategies (business ecosystem or platform
strategy, open source strategy) at: www.ow2.org/view/About/OW2Consortium
fOSSa Conference 2009 – Presentations
www.slideshare.net/fossaconference/presentations
SpagoWorld, the Open Source Initiative by Engineering Group - Lessons learned
by a company in the development of free software at enterprise level - Gabriele
Ruffatti, 2009
www.spagoworld.org/xwiki/bin/view/Resources/RuffattiArticleSpagoWorldInitiative
Which open source software for the current decade? Five question for the future. -
Gabriele Ruffatti, 2010
www.spagoworld.org/xwiki/bin/view/Resources/OSFiveQuestionsFutureRuffatti
Ecology of Value – SpagoWorld Blog
www.spagoworld.org/blog/category/ecology-of-value
30